525
14
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The Major-General as a corollary to the above insists on the extreme importance of reforestation and a careful selection of the trees to be cut.
On these pleas Major-General Kojima seeks to justify the action of his Bureau which has been on the following lines:-
In the first place, failing the establishment of a Company, the Bureau has taken possession of timber districts Nos. 18 to 20 above Maoershan and reserves them for her own uses.
There is a colony of 1,000 Japanese engaged in cutting timber in this region, assisted by 1,500 Corean wood-cutters. There is a small detachment of soldiers who, Major-General Kojima states, are there to protect the wood-cutters from molestation and a Captain of the Japanese army controls the whole organization under the orders of Major-General Kojima.
The forests in these districts are very dense, and the work of the wood-cutters has at present only reached the stage of cutting tracks through the forest.
The work of reforestation at a later period will be carried out by leaving standing such trees as are suitable to propagate the seeds. Major-General Kojima thinks it will not be necessary to apply the system now used in certain parts of the Hokkaido forests, where saplings are planted over a fresh area every year in rotation, so that each area will be ready for cutting at the end of a period of thirty years.
Secondly, the Japanese Timber Bureau appropriates a fourth part of the timber rafted to Antung by Chinese at a price which barely covers the expense of felling and rafting.
This system came into force in May of last year. There is a branch office of the Japanese Timber Bureau, on the Corean side of the Yalu, above the town of New Wiju, which is charged with the duty of examining all the timber which comes down, and selecting the quarter to be so purchased.
In conjunction with this arrangement, the Bureau published in June last an announcement that it was prepared to receive and consider applications from Japanese merchants desiring to engage in the sale of timber. The seven largest firms in Antung, including the Mitsui Bussan Kaisha, responded, and are marketing the timber obtained in the above manner, which is handed over to them at cost price approximately with 2 per cent. added, which goes to the Bureau to defray expenses.
The effect of this measure is somewhat as follows:--
Last year's output of timber numbered some 6,000 rafts. The Timber Bureau purchased 1,500 at cost price. The average selling market price of a raft is 500 Antung taels, and therefore the timber so purchased would sell for 750,000 taels, the bulk of the profit going into the pockets of the Japanese merchants.
I have the honour to inclose translation of a Proclamation issued in the Chinese language by Major-General Kojima, wherein he is at some pains to explain the raison d'être of the Bureau and to defend its action,
The circumstances attending the organization by the Chinese Government of an independent official Company to cut timber, referred to in the third paragraph of this Proclamation, were, I understand, as follows:--
In June of last year, so Major-General Kojima states, it was discovered by the Bureau that an official Company to exploit the timber resources of the Hunchiang, or main tributary of the Yalu River, entering that river on the right, had been secretly organized in November 1906. The Company had a capital of 600,000 dollars, and had its head-quarters at a place some distance from Antung up the river, with a branch office at Antung. A protest was immediately presented through the Japanese Consul-General at Mukden to the Viceroy, demanding the dissolution of the organization on the ground of its being in contravention of the Agreement between China and Japan, and an order quashing the Company was issued.
The Muchih kungtzu, also referred to in the Proclamation, is a Chinese organization to assist the timber-owners in collecting their timber when the rafts are broken by floods or otherwise, and the logs are branded for purposes of identification.
A fee of 14 per cent. is levied by this institution on the value of each raft-owner's yearly output.
I have, &c.
(Signed)
W. R. M. RUSSELL.
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Inclosure 2 in No. 1.
Proclamation issued by Major-General Kojima, Japanese Imperial Army, Director of the Timber Bureau. (Translation.)
To the Public:
IT is the opinion of the Imperial Japanese Government that since the valley of the Yalu is one of the most extensive places of production of timber in the Far East, it is very desirable that measures for preserving the forests be taken in order that the supply of lumber may not be exhausted. The forests, moreover, serve to regulate the rainfall, moderate the temperature, and prevent floods. Timber is also one of the chief articles of trade of the inhabitants of this region. It is for these reasons that our Timber Bureau has been established.
Before the conclusion of the Russo-Japanese war we had already inaugurated a systematic method of working the forests. Then, upon the restoration of peace, our Government negotiated with the Chinese Government for the future formation of a joint Chino-Japanese Company to continue this method, the profits to be equally divided between the two Governments. This Company must be organized, and until its organization our Timber Bureau will for a short time continue its operations.
It was believed by this Bureau that the negotiations would be concluded and the Joint Chino-Japanese Company established by the spring of the present year, and that this Company would then take charge of all matters and our Bureau would then be withdrawn.
Contrary to our hopes, however, repeated negotiations carried on since last year between our Government and the Chinese have failed to bring about a satisfactory settlement, and the Chinese merchants have disregarded our rights by continuing to engage in the timber industry. The Chinese Government even went so far as to organize an independent official company to cut timber.
Our Bureau could not, of course, tolerate these conditions, and addressed a complaint to the Taotai of the Eastern Marches in regard to the matter. It is already several months ago since this action was taken. During that time the forests have suffered serious injury, in consequence of which our Bureau has been subjected to great loss, and the Japanese Imperial Treasury has been deprived of its just revenue. Is not this sufficient reason why, in accordance with our Treaty rights, which entitle us to an equality of profit, we should justly compensate for our loss by appropriating half of the timber that comes down from the Yalu? Is not this the undisputed right of our Bureau?
The Chinese merchants and raftsmen, however, misunderstood our attitude, because they lack a clear knowledge of the particulars. They consider that they have surreptitiously and unjustly been robbed of half of their profits, and as a result have become fearful and suspicious. We therefore wish to come to a thorough understanding with the merchants.
We cannot tacitly consent to relinquishing all of our rights or giving up our entire profits. We therefore notified the Taotai that we would take one log out of every four coming down, and that we would pay a price slightly higher than that given last year.
The Taotai replied that he had no official right to comply with our demands. He said that he must obey the instructions of his superiors. As a consequence the timber now coming down is being held up. If this condition continues, the raftsmen will suffer great loss. Is this not a lamentable state of affairs?
The merchants have several times asked the Bureau that they might be allowed to dispose of their timber. They would have been allowed to do so had the demands of this Bureau been earlier complied with. The detention of the timber is seriously injuring the prosperity of this market, and it is our sincere wish that these undesirable conditions may soon be brought to an end. We have heard that one or two merchants and the more influential raftsmen have instigated the others to act in such a manner as to bring about this state of affairs; and their action has resulted in holding up all the rafts now arriving and in subjecting the local market to great loss. It is clear that the Taotai should have notified the people to comply with our Bureau's demands, and should not have opposed our rights.
The rumour has gone abroad that the holding up of the timber is entirely due to the prohibition of our Bureau. Permit us to explain this matter to the public in the light of our Treaty. In accordance with our Treaty we are entitled to an equality of profit in the timber industry, and we should therefore seem to be justly entitled to a part of